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Why would an auction company list a lot with a minimum bid that tis 10x the true value?
jonathanb
Posts: 3,745 ✭✭✭✭✭
A couple of times recently I've noticed auction lots that were listed with minimum bids that were WAY out of line. We all know that pricing is subjective, but I'm not talking about 50% too high, or even double, but rather 10x or 20x what something should have sold for. And neither of the items was hyped, either, just plopped in the middle of the catalog surrounded by accurately-estimated items with no special treatment.
Unsurprisingly, both items closed without bids.
The "obvious" explanation is that there was a typo in the minimum. But if so, surely they'd fix it at some point? Electronic listings can be tweaked, and even if not, they could allow a live bid anywhere they wanted.
Another possibility is that they legitimately thought the prices were accurate. That's possible, sure, but in both cases they'd sold other examples before, with realized prices where they should have been in the other sales.
The only other thing I can think of is that they accepted a consignor's demands knowing that the lot wouldn't sell, perhaps in order to get other lots from the consignor?
Why would an auction house do that? Am I missing something?
Unsurprisingly, both items closed without bids.
The "obvious" explanation is that there was a typo in the minimum. But if so, surely they'd fix it at some point? Electronic listings can be tweaked, and even if not, they could allow a live bid anywhere they wanted.
Another possibility is that they legitimately thought the prices were accurate. That's possible, sure, but in both cases they'd sold other examples before, with realized prices where they should have been in the other sales.
The only other thing I can think of is that they accepted a consignor's demands knowing that the lot wouldn't sell, perhaps in order to get other lots from the consignor?
Why would an auction house do that? Am I missing something?
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<< <i>Just a thought, but it could be a typo that the auction house let slide so the consigner could get a better shake in the next sale (probably with lower fees). If it actually sells during the first auction I'm sure the consinger and the auction house wouldn't mind that either. >>
Depends on the auction house.
I would probably narrow it to the mistake or the consignor putting too high of a reserve.
- Marcus Tullius Cicero, 106-43 BC
<< <i>Am I missing something? >>
You might be.
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<< <i>
<< <i>Am I missing something? >>
You might be. >>
I love "one liners".
``https://ebay.us/m/KxolR5
<< <i>
<< <i>
<< <i>Am I missing something? >>
You might be. >>
I love "one liners". >>
Is today Avatar day?
One example from yesterday was this HK-667 in the latest Stacks sale, which had a minimum opening bid of $1500 or so. It's a nice enough piece, but I bought mine for less than $70, and others have sold in the $100-200 range. In the new So-Called Dollar book, we said that a top-line uncirculated piece might be worth $450. Stacks graded theirs AU (although it looked nicer than that to me from the pictures). I haven't heard anyone arguing that the prices in the new So-Called Dollar book were too low. And with a starting bid of $1500, they must have been "expecting" $2000 or $2500. Other So-Called Dollars listed with it had opening bids in the low $hundreds, and sold fairly strong overall, mostly in the mid- to high $hundreds, with three exceptions that had good reason.
Ed. S.
(EJS)
i had placed bids on several items in that sale and watched about half-a-dozen others, winning nothing and coming away quite surprised at the prices realized for a couple medals. the sad reality for me is that i'm just about "priced out" of the items i'm chasing and the days of being able to add to my collection wothout breaking the bank are coming to an end. the fine folks at Stack's aren't stupid so i figure it was no accident and they probably saw a better item.
i know there was some type of requirement for the Price Guide addendum with the book, but my feeling when such was announced that it was a bad, bad thing is only being reinforced with recent sales and with prices at shows and elsewhere. watch where things go at the PCAC auction, you will not believe it!!!!! certainly there are some choice medals there, certainly there are some rare ones, but prices have gone up overnight and followed that price guide. good for the consignors and the auction houses, bad for collectors.
i suspect it may be time to sit on the bench and wait for a cooling off, maybe adding something here and there. the reality is that now is a time to sell, not buy.
1. Typo
2. Owner may be feeling out the market for the
value of the lot without actually selling same except
at an excessive price.
3. Stupidity on the owners part, in setting an unrealistic
bid reserve.
4. Sometimes, an owner wishes to advertise an item ,for
future benefit in later auctions ,or private treaty sales.
Camelot